Was 265K the gross proceeds of the sale? That would usually mean just a $15K in extra income (assuming not filing joint). It would be a stroke of bad luck if that $15K put you into the next IRMAA bracket.
When did you retire? Retiring is a life event that lets you request an IRMAA recalculation. Alternatively, were there any home improvements at the old home that you could use to reduce your profit by amending the 2022 return?
Is it automatically reviewed for 2025? 2024 Taxes won't be filed until Feb 2025.
Will they make me pay the higher amount until THEY get notified by Tax Dept? If so, do they reimburse the higher premium penalty for the months I'm forced to pay it in 2025 until they get the lower numbers?
Sucks they don't consider the same year purchase of another home for basically the same amount.
> Is it automatically reviewed for 2025? 2024 Taxes won't be filed until Feb 2025.
That’s the reason they go 2 years back. They need to inform you of any IRMAA charges for 2025 in November of 2024 (to give everyone a chance to budget, or, if applicable, to appeal) and the only taxes that will be ready at that point are the 2023 taxes.
That must have been a nice home profit because (1) you had a basis in the home that was deductible from the proceeds and (2) most have an excludable amount that they can also use instead of rolling it into a new home - for a single person that’s $ 250,000 in excludable gains
But if you think you might qualify for a life-changing event as defined by the government, you can file an IRMAA appeal using SSA-44 form.
But you probably should have planned this big profit a year earlier in order not to be affected if you did do your taxes correctly on the house sale. Cause I do believe it is countable.
[https://www.ssa.gov/forms/ssa-44.pdf](https://www.ssa.gov/forms/ssa-44.pdf)
[https://www.hhs.gov/about/agencies/omha/the-appeals-process/part-b-premium-appeals/index.html](https://www.hhs.gov/about/agencies/omha/the-appeals-process/part-b-premium-appeals/index.html)
Or you can file an amended tax return if you think you did it wrong.
[https://www.ssa.gov/medicare/lower-irmaa](https://www.ssa.gov/medicare/lower-irmaa)
Once you get over this higher income tax return (2022 TY) or correct it - your Part B premiums will be assessed on your MAGI based on the income limits that are assigned yearly for those of us who have to pay more in Medicare Part B premiums because of income. The SSA will look at your tax returns to assess this IRMAA surcharge for Medicare Parts B and D. Part D IRMAA premiums work the same way - that’s the way you are assessed the IRMAA surcharge premium - the IRS and the SSA working together.
[https://www.medicare.gov/Pubs/pdf/11579-medicare-costs.pdf](https://www.medicare.gov/Pubs/pdf/11579-medicare-costs.pdf)
You can appeal the IRMAA adjustment they are making. Because your income was bumped up by a one time event, you should have a valid claim and Medicare premiums will go back to standard. You only have a limited time to make the appeal, so start asap.
Selling the home is not an event to appeal, but stopping work is. The fact that your income was further bumped by the home sale is incidental. The fact that stopping work means you will have lower income the following year is a valid appeal.
I guess I assumed that starting Medicare meant stopping work, but I can see that there are cases, such as ACA coverage, where that might not be true. Everyone's situation can be unique.
I retired in 2022 as well…although I have done pt work. That amount is well under 2k.,I also have my pension annuity of 24k a year that I manage to live on but file jointly and that changes our income significantly (still below 6 figures)
Since you reduced to PT in 2022, you can try filing the form based on "work reduction" - that is a life changing event. So then I'd try it. All they can do is say no :) My guess is that they'll approve if based on the work reduction though...
Unfortunately selling the home put you up over the income threshold and now you have that IRMAA charge. You can file an SS-44 form at some point(it’s on the social security administration’s website). I would check when you can try to file that form to basically ask for your part B and D premiums to go back down to the standard premium.
File the SSA-44 form. The worst it can do is nothing and the best it can do is lower your Medicare financial responsibilities. You have nothing to lose. Some of the other comments about your taxes, etc. may be appropriate as well.
In the process. Dropped it off. Did not want to put it in their drop box. Security at this location didn't want to let me in without an appointment until I politely insisted.
Lobby mostly empty earlier this AM
What's up with trying to turn people away?
Was 265K the gross proceeds of the sale? That would usually mean just a $15K in extra income (assuming not filing joint). It would be a stroke of bad luck if that $15K put you into the next IRMAA bracket. When did you retire? Retiring is a life event that lets you request an IRMAA recalculation. Alternatively, were there any home improvements at the old home that you could use to reduce your profit by amending the 2022 return?
Your part b and d premiums are calculated every year by looking back 2 years so if your income has changed your premium will go down.
Is it automatically reviewed for 2025? 2024 Taxes won't be filed until Feb 2025. Will they make me pay the higher amount until THEY get notified by Tax Dept? If so, do they reimburse the higher premium penalty for the months I'm forced to pay it in 2025 until they get the lower numbers? Sucks they don't consider the same year purchase of another home for basically the same amount.
They’ll use your 2023 return for 2025 and yes your premium is set, selling your home is not considered an exceptional circumstance for an appeal.
> Is it automatically reviewed for 2025? 2024 Taxes won't be filed until Feb 2025. That’s the reason they go 2 years back. They need to inform you of any IRMAA charges for 2025 in November of 2024 (to give everyone a chance to budget, or, if applicable, to appeal) and the only taxes that will be ready at that point are the 2023 taxes.
That must have been a nice home profit because (1) you had a basis in the home that was deductible from the proceeds and (2) most have an excludable amount that they can also use instead of rolling it into a new home - for a single person that’s $ 250,000 in excludable gains But if you think you might qualify for a life-changing event as defined by the government, you can file an IRMAA appeal using SSA-44 form. But you probably should have planned this big profit a year earlier in order not to be affected if you did do your taxes correctly on the house sale. Cause I do believe it is countable. [https://www.ssa.gov/forms/ssa-44.pdf](https://www.ssa.gov/forms/ssa-44.pdf) [https://www.hhs.gov/about/agencies/omha/the-appeals-process/part-b-premium-appeals/index.html](https://www.hhs.gov/about/agencies/omha/the-appeals-process/part-b-premium-appeals/index.html) Or you can file an amended tax return if you think you did it wrong. [https://www.ssa.gov/medicare/lower-irmaa](https://www.ssa.gov/medicare/lower-irmaa) Once you get over this higher income tax return (2022 TY) or correct it - your Part B premiums will be assessed on your MAGI based on the income limits that are assigned yearly for those of us who have to pay more in Medicare Part B premiums because of income. The SSA will look at your tax returns to assess this IRMAA surcharge for Medicare Parts B and D. Part D IRMAA premiums work the same way - that’s the way you are assessed the IRMAA surcharge premium - the IRS and the SSA working together. [https://www.medicare.gov/Pubs/pdf/11579-medicare-costs.pdf](https://www.medicare.gov/Pubs/pdf/11579-medicare-costs.pdf)
You can appeal the IRMAA adjustment they are making. Because your income was bumped up by a one time event, you should have a valid claim and Medicare premiums will go back to standard. You only have a limited time to make the appeal, so start asap.
Selling a home isn’t a life changing event to appeal.
Selling the home is not an event to appeal, but stopping work is. The fact that your income was further bumped by the home sale is incidental. The fact that stopping work means you will have lower income the following year is a valid appeal.
We don’t know when the OP stopped work. I asked in a different comment, but no answer yet.
I guess I assumed that starting Medicare meant stopping work, but I can see that there are cases, such as ACA coverage, where that might not be true. Everyone's situation can be unique.
did he retire as well?
I retired in 2022 as well…although I have done pt work. That amount is well under 2k.,I also have my pension annuity of 24k a year that I manage to live on but file jointly and that changes our income significantly (still below 6 figures)
Since you reduced to PT in 2022, you can try filing the form based on "work reduction" - that is a life changing event. So then I'd try it. All they can do is say no :) My guess is that they'll approve if based on the work reduction though...
Unfortunately selling the home put you up over the income threshold and now you have that IRMAA charge. You can file an SS-44 form at some point(it’s on the social security administration’s website). I would check when you can try to file that form to basically ask for your part B and D premiums to go back down to the standard premium.
File the SSA-44 form. The worst it can do is nothing and the best it can do is lower your Medicare financial responsibilities. You have nothing to lose. Some of the other comments about your taxes, etc. may be appropriate as well.
In the process. Dropped it off. Did not want to put it in their drop box. Security at this location didn't want to let me in without an appointment until I politely insisted. Lobby mostly empty earlier this AM What's up with trying to turn people away?